• NBK 1Q net income was 146.6 million dinars, an increase of +9.2% year over year (y/y). This was in line with the estimate of 148 million dinars.
• The operating revenue for the same period was 309.0 million dinars, which is +11% y/y. This was close to the projected revenue of 310 million dinars.
• The bank made an operating profit of 197.5 million dinars, showing a growth of +12% y/y.
• Earnings Per Share (EPS) also saw a growth from 0.0150 dinars y/y to 0.0170 dinars y/y.
• NBK’s net interest income was 189.2 million dinars, making a growth of +11% y/y.
• Non-interest income of the bank also rose to 70.9 million dinars, an increase of +7.2% y/y.
• Operating expenses of the bank were 111.5 million dinars, marking an increase of +9.9% y/y.
• The bank’s impairments were at 25.5 million dinars, showing a decrease of -9.3% y/y.
• This quarter’s results were partly due to a higher net operating income, lower impairment losses but were offset by higher operating expenses.
• According to the analysts, NBK has received 2 buys, 4 holds, and 4 sells recommendations.
A look at National Bank of Kuwait SAKP Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, National Bank of Kuwait SAKP shows a mixed long-term outlook. The company scores well in Growth and Dividend factors, indicating potential for expansion and a solid dividend policy. However, its Value and Resilience scores are relatively lower, suggesting that there may be room for improvement in terms of the company’s valuation and ability to withstand economic challenges. In terms of Momentum, the bank is moderately positioned, reflecting a stable but not particularly strong market performance. Overall, the outlook for National Bank of Kuwait SAKP seems to be positive in growth and dividend aspects but could benefit from enhancements in value and resilience.
As a commercial bank with a presence through local and overseas branches and subsidiaries, National Bank of Kuwait S.A.K. offers a wide range of financial services. The company’s focus on growth and dividends indicates a strategy geared towards expansion and providing returns to its shareholders. While there may be areas for improvement in terms of valuation and resilience, the overall outlook for the bank suggests a balanced approach towards long-term sustainability and profitability. With a presence in both local and international markets, National Bank of Kuwait SAKP is positioned to capitalize on growth opportunities while navigating potential challenges.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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